In which of the following will the percentage increase in sales from one year to the next be most obvious?
A)Profitability analysis
B)Turnover analysis
C)Horizontal analysis
D)Vertical analysis

Question

Quizplus · Accepted Answer

Horizontal analysis involves comparing financial information from one period to another, such as analyzing changes in sales from one year to the next. This makes it the best choice for identifying the percentage increase in sales. Profitability analysis looks at the overall profitability of a business, turnover analysis focuses on how efficiently a company is generating revenue, and vertical analysis compares items on a company's financial statements as a percentage of a base figure, such as total assets.

In Which of the Following Will the Percentage Increase in Sales